||Employee referral is an informal way of searching for potential candidates to fill up the job vacancies from current employees’ networks. Extensive researches indicate that it has several advantages including employees hired via referrals have better performance, higher levels of job satisfaction and longer tenure (Breaugh, 1981;Kirnan, Farley, & Geisinger, 1989).|
This study, in adoption of qualitative approach, aims at exploring organizations’ perspectives for adopting employee referrals and their opinions about the prescreening made by introducers prior to entry, how “Guanxi” between introducers and referred candidates influences the recruitment process, and the types of work best suited for recruiting via employee referrals. Six case companies were interviewed. The results are as follows: 1). Companies believe they can approach talented potential workers from their talented employees’ networks. 2). Organizations expect introducers to do prescreening on candidates’ basic requirements such as educational background; whereas, prescreening isn’t regarded as introducers’ responsibilities. 3).“Guanxi” doesn’t play a role during the recruitment process; however, the introducer’s power or status does. 4). Employee referral is best suited for positions that are hard to fill through the conventional channels, like high-demanding positions;besides, this recruitment source is especially critical for organizations lack of employer branding.